Final answer:
An information system enhances core competencies by facilitating knowledge sharing across business units, which helps a business focus on its strengths and competitive advantage. It also supports collaboration, can contribute to the dominance of a firm in the market, and allows for efficient management of operations across different locations.
Step-by-step explanation:
An information system can enhance core competencies by encouraging the sharing of knowledge across business units. This is essential for businesses that focus on their core competencies, which are the particular strength or competitive advantage that a business has. By focusing on a limited range of products or services, a company can better leverage its expertise and resources.
The use of information systems contributes to this by facilitating communication and collaboration, thus broadening the reach and impact of a company's core competencies. It can also help create winner-take-all markets, where a firm dominates a particular area, as seen with companies like Microsoft or Amazon. Moreover, information systems allow for better management of multiple operations, potentially encouraging the growth of larger firms.
The options provided a), c), and d) also play a role in enhancing an organization. However, option b) is particularly